|Day's Range||0.875 - 0.881|
|52 Week Range||0.8636 - 0.9261|
Investing.com - The pound was trading close to seven month lows on Wednesday as Prime Minister Theresa May’s government faced another crunch vote on Brexit.
Investing.com - The diverging monetary policy outlook between the Federal Reserve and the European Central Bank is likely to boost the dollar and weigh on the euro in the coming week, by making the dollar more attractive to yield-seeking investors.
The EUR/GBP pair went back and forth during the trading sessions that make up the week, as we continue to find the 0.88 level above resistive enough to keep this market down. However, I think that the sideways action of this market keeps a lot of longer-term traders on the sidelines.
The Euro rallied against the British pound during the day on Friday, continuing the choppiness that we have seen over the last couple of days. We sold off rather drastically on Thursday, have bounced towards the 0.8750 level a couple of times, but have yet to break above there.
The European Union had a press conference and interest rate meeting during the day on Thursday, which of course was unchanged. However, they did step down the quantitative easing, dropping from buying €30 billion per month and the bond market to only buying €15 billion per month, which of course is the next step in a tightening cycle.
Investing.com - The euro dropped on Thursday after the European Central Bank signaled plans to wind up its bond purchasing program stimulus program by the end of the year but reiterated that it expects to keep interest rates on hold until the middle of 2019.
Investing.com - The pound rose to the day’s highs on Thursday after data showing that UK retail sales outstripped forecasts in May as good weather and the Royal Wedding boosted consumer spending.
The Euro rallied significantly during the trading session on Wednesday, reaching towards the 0.8825 level again. This is a significant resistance barrier that continues to keep the market somewhat under wraps, but by the end of the day we should see some clarity as the European Central Bank will have a statement today.
Investing.com - The pound slid to the day’s lows on Wednesday after data showing that UK inflation remained steady at a one-year low on May, despite pressure from higher oil prices.
The EUR/GBP pair has rallied significantly during the day on Tuesday, using the 0.88 level as a bit of a springboard. Now that we are reaching towards the 0.8850 level, if we can break above there it’s likely that we could continue to go even higher. Once we break above there, I suspect that the 0.89 level will be targeted.
The Euro rallied against the British pound on Monday, as we have seen bridge pound weakness in general. I believe that the market should continue to go higher, if we can finally break above the 0.8835 level. A move above there should send this market to the 0.89 handle.
Investing.com - The pound slid lower on Monday after a slew of disappointing UK economic reports, while the euro was slightly higher as markets braced for a big week, which includes meeting of the Federal Reserve and the European Central Bank.
The breakaway gap in the Euro (in this article, we use “Euro” to refer to the currency pair EUR/USD) on the 24th of April 2017 on the back of positive first round French election results that weekend broke through a resistance trendline from 2014, a 5-month ascending triangle and the 200-day moving average. It heralded a reversal in the trend of the Euro and what followed was a near 1-year rally that took the price from 1.087 to a high of 1.2558, a rise of 15.5%. After consolidating in a symmetrical triangle, the Euro broke to the downside and has been falling for over a month now.
The Euro rallied significantly during the week, breaking above the 0.88 level. The 0.88 level has caused both support and resistance as of late, so it’s not a huge surprise that we pull back from there. Overall, this is a market that continues to be very noisy.
The Euro fell initially during the trading session on Friday but found enough support underneath the turn around and rally towards the 0.88 level again. If we can break above that level, the market should continue to go much higher, perhaps reaching towards the highs again at the 0.8840 level.
The Euro spiked against the British pound during the trading session on Thursday, slicing through the 0.88 level after it was announced that the United Kingdom could be leaving the customs union after breaking away from the European Union. That of course makes sense, and I think that what we have seen is a bit of algorithmic trading gone wild.
Market Focus, Key findingsECB’s Weidmann says first ECB Rate Hike could follow the end of Quantitative Easing more closely than in the USAIndustrial Producer Prices rose by 0.1% in the EURO AREA (EA19) and by 0.2% in the EU28European Commission forecasts EURO ZONE inflation will accelerate to 1.6 pct YoY in 2019 from 1.5 pct YoY seen in 2018
The Euro rallied a bit against the British pound during the trading session on Wednesday, reaching towards the 0.88 level yet again. The market continues to be very range bound in general, so it wouldn’t surprise me at all that we would go looking towards the region above, where I would see a lot of resistance again.
The Euro fell significantly during the trading session on Tuesday, reaching down towards the 0.8725 handle before bouncing slightly. The market continues to be very noisy, and more importantly they tend to be range bound.
The euro turned positive on Tuesday following reports that the European Central Bank would use its next policy meeting to discuss an exit from its quantitative easing program. Expectations for the ECB to normalize its monetary policy had waned in recent months as European economic data was sluggish and political developments in Italy took center stage. Market participants questioned whether the ECB could afford to halt bond buys if the economic recovery was slowing and Italy's government was euroskeptic.
Investing.com - The pound rose to the day’s highs on Tuesday, jumping half a percent against the dollar after data showing that the dominant UK service sector grew at a faster than expected pace in May.
Everything is happening in a flag pattern. Cable is locked inside the flag and between the horizontal resistance on the 1.34 and the horizontal support on the 1.33. Here, we do have a double bottom formation along with the flag pattern.
The Euro rallied significantly against the British pound during the Monday session, as we continue to see a lot of volatility in this pair. I think that the market will continue to hang about in the same consolidation area, with the same support and resistance driving the overall attitude of this market.
EUR/GBP traders sold during most of the week but found a bit of a reprieve later on. Ultimately, it looks as if the market will continue to be very tight, and that makes a lot of sense considering how many moving pieces there are in this marketplace right now.
The Euro initially trying to break above the vital 0.88 level against the Japanese British pound but has failed again. This is a market that continues to consolidate overall, and as we are in the middle of the range, there’s not much to be said in general. I think that the market will probably continue to be very skittish, but more importantly: range bound.